Oil Rises to Seven-Week High With Eyes on Budding Demand Revival - Bloomberg

Oil Rises to Seven-Week High With Eyes on Budding Demand Revival - Bloomberg

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West Texas Intermediate crude for June delivery rose $1.15 to $65.64 a barrel at 12:01 p.m. in New York Brent for July settlement added $1.24 to $68.80 a barrel Oil advanced amid optimism that the resumption of economic activity in the U.S. and Europe will underpin demand in some of the world’s largest economies. Futures in New York gained as much as 2.1% on Tuesday, reaching the highest intraday level since mid-March, while gasoline futures jumped as much as 2.8%. The European Union plans to ease curbs for vaccinated travelers this summer, while in the U.S., New York plans to lift most of it virus restrictions this month. That’s offsetting concerns about weaker oil consumption in parts of Asia, including key importer India, where Covid-19 remains rampant. “The loss from India, Brazil and other countries that are suffering aren’t going to be as big compared to the gains we get from tourism in the U.S. and Europe in particular,” said Michael Lynch, president of Strategic Energy & Economic Research. “As long as OPEC+ continues the restraint that they’ve shown, that’s going to keep the market relatively tight.”